The Department of Public Works and Highways (DPWH) confirmed on Wednesday that the current budgetary cost for the New Senate Building (NSB) is now higher than the estimates provided by Senators Alan Peter Cayetano and Nancy Binay.

“Ito po problema, nung sinubmit niyo additional submissions niyo, luma na ang presyo. Meaning that lagpas na sa P23 billion yung total project cost,” Senator Alan Peter Cayetano, the chair of the Senate Committee on Accounts, said at the continuation of the public hearing on the NSB on July 10, 2024.

This after the DPWH admitted that the budgetary cost estimate for the project could balloon to P25-P27 billion.

“Ito ang ayaw naming mangyari. Ang pinagtalunan lang namin ni Senator Nancy Binay y’ung cost,” Cayetano said, pointing out that the figures he and Binay had argued about in the first hearing last week are far lower than the new figures revealed by the DPWH.

According to the DPWH, the changes in budgetary cost estimates are due to inflation.

To clarify the situation, Cayetano provided a breakdown of the total budgetary cost and the implications of applying a “conservative 20 percent inflationary cost” increase as referenced by the DPWH.

Cayetano shared that Phase 1’s cost currently increased to P8.6 billion from P8.067 billion due to variation orders.

Additionally, the senator also said Phase 2’s budgetary cost estimate is P2.375 billion with potential increases and Phase 3’s P10.33 billion cost, is currently under review.

In response to DPWH’s admission, the senator urged the agency to “keep their eyes on the ball” and finalize the cost based on 2024 prices to keep the project moving.

“Kayo ang technical, kayo ang nakakaalam. Simple lang: paano matapos sa soonest possible time [ang project na ito] na tamang presyo at tama ang pagkakagawa,” he said.

“Get the final design, get the final costing,” he added.